Pavan, A.; Angeletos, G.M.; Hellwig, C. - Society for Economic Dynamics - SED - 2004
strategic complementarities and heterogeneous expectations. We consider a simple dynamic global game of regime change, in which … regime change depend, not only on the evolution of information, but also on arbitrary self-fulfilling expectations. Despite … which regime change is inevitable in the long run. Moreover, all equilibrium paths are characterized by the succession of …